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HomeMy WebLinkAbout04-28-1997 EDA of Mounds View City..... • ECONOMIC DEVELOPMEN AUTHOR `fY Meetin Ho 35 A6EHQ � 1. CALL TO ORDER 2. ROLL CALL - President McCarty Vice President Koopmeiners Secretary Trude Commissioner Quick Commissioner Stigney 3. APPROVAL OF AGENDA • EDA ACTION: ATD Comments: 4. APPROVAL OF MINUTES: March 10, 1997, Meeting No. 33 and April 14, 1997 Meeting No. 34 EDA ACTION: ATD Comments: 5. CONSENT AGENDA 6. PUBLIC HEARING No public hearing scheduled for this meeting. 7. EDA BUSINESS A. Consideration of Resolution No. 97-EDA-65 Approving Modification of the Project Plan for the Mounds View Economic Development Project and Approving the Tax Increment Financing Plan for Tax Increment Financing District No. 4 Staff Report No. • EDA-97-70C (Staff Presenter: Cathy Bennett, Director of Economic Development) EDA ACTION: ATD Comments: EDA PAGE TWO APRIL 28, 1997 • 8. REPORTS: Report of EDA Board Members: 1. Report of President McCarty: 2. Report of Vice President Koopmeiners 3. Report of Secretary Trude 4. Report of Commissioners: a. Commissioner Quick: b. Commissioner Stigney: • 5. Report of Clerk-Administrator Whiting: 6. Report of Executive Director Bennett: 7. Report of Treasurer Kessel: • k f A {a 4 i1 PROCEEDINGS OF THE MOUNDS VIEW 2 ECONOMIC DEVELOPMENT AUTHORITY 3 4 Meeting No.33 5 March 10, 1997 6 Mounds View City Hall 7 2401 Hwy. 10,Mounds View MN 55112 8 *********************************************************************************** 9 10 CALL TO ORDER 11 12 The Economic Development Authority was called to order by President McCarty on March 10, 1997 at 9:31 13 p.m. 14 15 ROLL CALL 16 17 MEMBERS PRESENT: Duane McCarty,Julie Trude,Gary Quick,Roger Stigney,Roger Koopmeiners, 18 Director of Economic Development Cathy Bennett,Clerk Administrator Chuck Whiting and City Attorney 19 Steve Bubul. 20 21 OTHERS PRESENT: None 22 23 APPROVAL OF AGENDA: 24 25 MOTION/SECOND: Koopmeiners/Stigney to Approve the Agenda as presented. • 26 27 VOTE: 5 ayes 0 nays Motion Carried 28 29 APPROVAL OF MINUTES: 30 31 MOTION/SECOND: Koopmeiners/Quick to Approve the Minutes of the Economic Development Authority 32 meeting on February 10, 1997. 33 34 VOTE: 5 ayes 0 nays Motion Carried 35 36 CONSENT AGENDA: 37 38 There were no items on the Consent Agenda. 39 40 PUBLIC HEARINGS: 41 42 There were no Public Hearings scheduled for this meeting. 43 44 EDA BUSINESS: 45 46 A. Consideration of Resolution No.97-EDA62,Authorizing Staff to pursue negotiation of purchase 47 agreement with MSP Real Estate. 48 49 Ms.Bennett explained that the developer of the senior housing complex on County Road I approached the city 50 in regard to purchasing the EDA owned lot on the comer of Eastwood and Highway 10. They are interested in 51 redevelopment of the former Pleasant Wood Apartments and developing new townhomes on the vacant land 52 east of Pleasant Wood Apartments. Ms.Bennett noted that she and Pam Sheldon had met with Jeff Huggett • 53 and Milo Pinkerton of MSP to discuss the project. They would be applying for MHFA funding to do a major 54 renovation to the interior and exterior apartments and construct new townhomes as one coordinated 55 development. M a part of the application process,they need to obtain documentation of the city's interest in EDA Meeting#32 3t cjji'— • March 10, 1997 Page 2 1 pursuing a purchase agreement with them. She noted that Resolution No.97-EDA62 will in no way obligate 2 EDA to sell the property for the project,but merely states the city/EDA's interest in looking at that option. 3 4 Ms.Bennett informed the board members that the applicants are preparing to give the EDA a full presentation 5 on what the project will include and the funding sources. 6 7 Ms. Trude asked if the applicants are proposing to purchase the property for$32,500. Ms.Bennett stated 8 that this would be the proposal however she is not prepared to accept or reject any figure until she knows more 9 about the project. Ms.Trude noted that this is the property that the EDA paid$125,000 for. She also asked if 10 a project such as this would help the city approach the goals established for the Livable Communities Act. 11 Ms.Bennett explained that the city is already below the guidelines of the Livable Communities Act. 12 13 Commissioner Quick asked if there will be age restrictions for the proposed housing. 14 15 Milo Pinkerton of MSP Real Estate explained that the proposed housing would be open to anyone. These will 16 be affordable rental units, low density,lots of green space,attached garages,and a play lot for children. 17 18 Ms.Trude asked how long rent subsidy would be provided for the property under the MHFA funding. 19 Mr.Pinkerton stated it would be a 30 year restriction(15+15). 20 21 MOTION/SECOND: Quick/Trude to deny Resolution No.97-EDA62. • 22 23 Ms. Trude stated she does not feel this proposal fits the corridor study that the city has been looking at. 24 Mr.McCarty explained that the new study results have not been given to the city and he would like to preserve 25 the option of the housing proposal. The EDA is under no obligation at this point and he would like to wait to 26 see the new study results. Approving the Resolution will leave the options open. 27 28 VOTE: 2 ayes 3 nays(McCarty,Stigney,Koopmeiners) Motion FAILED. 29 30 MOTION/SECOND: McCarty/Koopmeiners to approve Resolution;No.97-EDA62,Authorizing Staff to 31 Pursue the Negotiation of a Purchase Agreement with MSP Real Estate. 32 33 Commissioner Quick asked if the EDA would have any legal obligations if this Resolution were approved. 34 35 Attorney Bubul responded no. 36 37 Commissioner Quick stated he feels approval would be taking a step towards negotiations and a step further 38 from denial. 39 40 Attorney Bubul reminded Commissioner Quick that this would not be a step of obligation. 41 42 Commissioner Quick stated he is opposed to this type of housing. Mounds View has more than enough of this 43 type of housing. Commissioner Trude concurred. 44 45 Naja Werner,2765 Sherwood Road asked if a certain number of rental units in Mounds View need to fall 46 within the Livable Communities Act guidelines. Mr.McCarty explained that these are only guidelines and 47 that the city is not legally obligated to do so. 48 Ui \ii/C:irdppg‘ ,‘, Ein EDA Meeting#32 N. 5 n. March 10, 1997 Page 3 1 Commissioner Stigney stated that he felt the title of the Resolution was inaccurate. Mr.McCarty explained 2 that proper steps will need to be followed prior to negotiations. Ms.Bennett noted that any further action 3 would require approval from the EDA. 4 5 Ms.Trude requested that information be provided at the April 7th EDA meeting in regard to the tax benefits of 6 a project such as this. 7 8 ROLL CALL VOTE: 9 10 McCarty aye 11 Trude nay 12 Koopmeiners aye 13 Quick nay 14 Stigney aye 15 16 Motion Carried(3-2) 17 18 REPORTS: 19 20 Report of EDA Board Members: 40 21 22 Report of President McCarty: No report. 23 24 Report of Vice President Koopmeiners: No report. 25 26 Report of Secretary Trude: No report. 27 28 Report of Commissioners: 29 30 Commissioner Quick: No report 31 32 Commissioner Stigney: No report 33 34 Report of Executive Director: Ms.Bennett noted that at the April 7th work session,the recommendations 35 from the study of Section 9 will be presented. 36 37 Report of Treasurer: No report 38 39 MOTION/SECOND: Koopmeiners/Stigney to adjourn the meeting at 10:06 p.m. 40 41 Respectfully submitted, 42 43 44 45 Tamara D.Saetke 46 Recording Secretary 47 48 49 M't. UNAPPROVED • 1 PROCEEDINGS OF THE MOUNDS VIEW 2 ECONOMIC DEVELOPMENT AUTHORITY 3 4 Meeting No.34 5 April 14, 1997 6 Mounds View City Hall 7 2401 Hwy. 10,Mounds View MN 55112 8 *********************************************************************************** 9 10 CALL TO ORDER 11 12 The Economic Development Authority was called to order by President McCarty on April 14, 1997 at 9:08 13 p.m. 14 15 ROLL CALL 16 17 MEMBERS PRESENT: Duane McCarty,Julie Trude,Gary Quick,Roger Stigney,Roger Koopmeiners, 18 Director of Economic Development Cathy Bennett,Clerk Administrator Chuck Whiting and City Attorney Bob 19 Long. 20 21 OTHERS PRESENT: None 22 23 APPROVAL OF AGENDA: 24 25 MOTION/SECOND: Trude/Koopmeiners to Approve the Agenda as presented. 26 41111 27 VOTE: 5 ayes 0 nays Motion Carried 28 29 Ms.Bennett noted that it would be necessary to schedule an EDA meeting for April 28, 1997 at 6:45 p.m.to 30 consider a Resolution in regard to Tax Increment Financing Plan for the Bel Rae property. 31 32 MOTION/SECOND: Trude/Koopmeiners to schedule an EDA meeting for April 28, 1997 at 6:45 p.m. 33 34 VOTE: 5 ayes 0 nays Motion Carried 35 36 APPROVAL OF MINUTES: 37 38 It was noted that the minutes of the March 10, 1997 meeting were not included in the agenda packet. 39 40 CONSENT AGENDA: 41 42 There were no items on the Consent Agenda. 43 44 PUBLIC HEARINGS: 45 46 There were no Public Hearings scheduled for this meeting. 47 48 EDA BUSINESS: 49 50 A. Consideration of Resolution No.97-EDA-63 Approving and Authorizing the Execution of a 51 Development Assistance Agreement with Kenmark Partnership,LLC. e52 53 Ms.Bennett noted that Zep Manufacturing has requested$150,000 in tax increment assistance for the 54 construction of a 25,000 square foot office/warehouse building at the corner of Coral Sea Street and Court 55 Road J. This assistance would allow the developer to capture a ten year lease for Zep Manufacturing. , 3 EDA Meeting#32 • March 10, 1997 Page 2 1 She proceeded to briefly summarize various sections of the agreement. 2 3 MOTION/SECOND: Koopmeiners/Trude to Approve Resolution No.97-EDA-63,Approving and 4 Authorizing the Execution of a Development Assistance Agreement with Kenmark Partnership,LLC. 5 6 VOTE: 5 ayes 0 nays Motion Carried 7 8 B. Consideration of Resolution No.97-EDA-64,Adopting the Highway 10,Section 9 Redevelopment 9 Plan as Proposed by SRF Consulting Group,Inc. 10 11 MOTION/SECOND: Quick/Koopmeiners to Approve Resolution No.97-EDA-64,Adopting the Highway 10, 12 Section 9 Redevelopment Plan as Proposed by SRF Consulting Group,Inc. 13 14 Ms.Trude stated she feels SRF Consulting Group did a fme job on the plan,however she had one problem 15 with a section and would like to adopt the plan in all parts except in reference to Parcels 1,2 and 3. She stated 16 the purpose for this is that the City Council just adopted an ordinance keeping day care facilities out of areas 17 within 200 feet of highway traffic and this would follow that plan in keeping children out of unhealthy 18 conditions. It would also use the economic corridor for business opportunities which have a higher tax base. 19 20 MOTION/SECOND: Trude/Stigney to amend the plan and go with the"if then"scenario for Parcels 1,2 and 3 21 on land use. • 22 23 Mr.Patrick Peters of SRF Consulting Group,Inc.noted that this plan is to be used only as a guideline and 24 provides direction in making policies. This should be used as a tool for when developers come in to evaluate 25 the various elements in trying to decide what is appropriate for different areas. However,it was their feeling 26 that the residential scenario made the most sense from an access standpoint and also from balancing the benefit 27 that will come to the multi-family as well as mutual benefit that comes through the EDA/PTW properties on the 28 corner. He would suggest that the plan be adopted as it is and only use it to weigh the applications. 29 30 Ms. Trude stated the plan refers to community input meetings and yet she knows that many people in that area 31 are concerned that something not be allowed in that area which will create an impact on their neighborhood and 32 she feels multi-family and condensed housing would do so. Furthermore,whatever the council endorses with 33 the plan will very much guide the Planning Commission and staff. 34 35 A discussion followed. Ms.Trude stated she would be more comfortable with the word"accepting"in the 36 resolution,than the word"approving". 37 38 Commissioners Trude and Stigney asked that their Motion/Second be withdrawn. 39 40 Commissioners Quick and Koopmeiners accepted the amendment to the Resolution,changing the word 41 "approving"in the resolution caption to the word"accepting",and also in the 8th paragraph of the resolution, 42 changing the word"approves"to"accepts". 43 44 VOTE: 5 ayes 0 nays Motion Carried 45 46 REPORTS: • 47 48 Report of EDA Board Members: 49 • UNAPPRirv , t!pea 411 EDA Meeting#32 _x .. March 10, 1997 Page 3 1 Report of President McCarty: No report. 2 3 Report of Vice President Koopmeiners: No report. 4 5 Report of Secretary Trude: No report. 6 7 Report of Commissioners: 8 9 Commissioner Quick: No report. 10 11 Commissioner Stigney: No report. 12 13 Report of Executive Director: Ms.Bennett noted that a six-week University of Minnesota Design Course will 14 be held and she asked that any commissioners who would like to attend this course notify her. President 15 McCarty stated he would like to attend the course. 16 17 Report of Treasurer: No report. 18 19 Report of Attorney: Mr.Long noted that a motion should be made,authorizing the EDA President and the 20 EDA Director to enter into,on behalf of the EDA,the Exclusive Negotiations Agreement,set up as a three-way 21 document. 22 23 MOTION/SECOND: McCarty/Quick to authorize the EDA President and the EDA Director to enter into an 24 Exclusive Negotiations Agreement,on behalf of the EDA. 25 26 VOTE: 5 ayes 0 nays Motion Carried 27 28 MOTION/SECOND: Koopmeiners/Stigney to adjourn the meeting at 9:44 p.m. 29 30 Respectfully submitted, 31 32 33 34 Tamara D.Saeflce 35 Recording Secretary 36 37 38 39 40 704 • RESOLUTION NO.77- -fps MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY CITY OF MOUNDS VIEW COUNTY OF RAMSEY STATE OF MINNESOTA RESOLUTION APPROVING MODIFICATION OF THE PROJECT PLAN FOR THE MOUNDS VIEW ECONOMIC DEVELOPMENT PROJECT AND APPROVING THE TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 4 Section 1. Recitals. 1.01. The Mounds View Economic Development Authority ("EDA") consolidated Development Districts No. 1,2, and 3, control of which was transferred to the EDA by the City of Mounds View ("City"), pursuant to Minn. Stat, Sections 469.090 through 469.108, thereby establishing the Mounds View Economic Development Project("Project"),and adopted a project plan therefor ("Project Plan"). 1.02. The EDA has determined a need to modify the Project Plan pursuant to Minn. Stat., Sections 469.124 through 469.134 ("Development District Act") and Minn. Stat.. Sections 469.001 to 469.047 ("HRA Act") and to that end has caused to be prepared a document entitled "Modification No. 1 to the Mounds View Economic Development Project" dated April 14, 1997 ("Project Plan Modification"). 1.02. The EDA has determined a need to establish Tax Increment Financing District No. 4 ("TIF District No. 4") and to adopt a Tax Increment Financing Plan ("TIF Plan") therefor, pursuant to Minn. Stat., Sections 469.101 through 469.1081 and Minn. Stat, Sections 469.174 through 469.179 ("TIF Act")and to that end has caused to be prepared a document entitled"Tax Increment Financing Plan for Redevelopment Tax Increment Financing District No. 4," dated April 14, 1997. 1.03. The Project Plan Modification and the TIF Plan were referred to the Mounds View Planning Commission, which determined that they conform to the general plan for the development of the City as a whole. 1.04. Estimates of the fiscal and economic implications of the TIF Plan were presented to Independent School District#621 and the Ramsey County Board before the public hearing on the TIF Plan in accordance with the TIF Act. The county commissioner representing the area including the TIF District was also duly notified in accordance with the TIP Act. 1.05. The EDA has fully reviewed the contents of the TIP Plan and has conducted a public hearing thereon, at which the views of all interested persons were heard. D.TG120155 M0205-4 Section 2. Findings; Project Plan Modification. 110 2.01. The findings stated in the Project Plan are incorporated herein by reference. 2.02. It is further specifically found and determined that: a) the land within the Project would not be made available for development without the public intervention and financial assistance described in the Project Plan Modification; b) the Project Plan Modification will afford maximum opportunity, consistent with the sound needs of the City as a whole, for the development of the land within the Project by private enterprise; c) the Project Plan Modification conforms to the general plan for development of the City as set forth in the comprehensive municipal plan; d) the Project Plan Modification will provide employment opportunities,and improve the tax base and the general economy of the state; and e) the Project Plan Modification will provide an impetus for commercial development. • Section 3. Findings: TIF District No. 4. 3.01. It is found and determined that it is necessary and desirable for the sound and orderly development of the Project and the City as a whole, and for the protection and preservation of the public health, safety, and general welfare, that the authority of the TIF Act be exercised to provide public financial assistance to the TIF District and the Project. 3.02. It is further found and determined,and it is the reasoned opinion of the EDA,that the development proposed in the TIF Plan could not reasonably be expected to occur solely through private investment within the reasonably foreseeable future and the increased market value of the site that could reasonably be expected to occur without the use of tax increment financing would be less than the increase in the market value estimated to result from the proposed development after subtracting the present value of the projected tax increments for the maximum duration of the district permitted by the TIF Plan. 3.03. The proposed public costs to be financed in part through tax increment financing are necessary to permit the City to realize the full potential of the TIF District and the Project in terms of development intensity, employment opportunities and tax base. 3.04. The TIF Plan for TIF District No. 4 conforms to the general plan of development of the City as a whole. D.76120155 MQ205-4 • 3.05. The TIF Plan for TIP District No. 4 will afford maximum opportunity, consistent with the sound needs of the City as a whole, for the development of the TIP District and the Project by private enterprise. 3.06. TIF District No. 4 is a redevelopment district under Section 469.174, subd. 10 of the TIF Act, based on the findings described in the TIF Plan, which are incorporated herein by reference. Section 4. Project Plan Modification and TIP Plan Adopted. 4.01. The Project Plan Modification and the TIF Plan are hereby approved. 4.02. The EDA recommends that the City Council approve the Project Plan Modification and the TIF Plan after the public hearing in accordance with the TIF Act. Adopted by the Mounds View Economic Development Authority, Mounds View, Minnesota this /4 day of ,� , 1997. SLC' (4PAI, • ATTEST: Duane McCarty, President Catherine Bennett, Executive Director • 41 ATG220155 M0205-4